This is a tale of highs and lows.
Looks to me like the bike has had a front impact, stressing the lugs and damaging the lower cup interface. A bit odd, as the lugs should be far stronger than the downtube and the bike would normally fold up there. Also the fork does not look bent.
Maybe thats how it made its way back to it's maker. Who chucked it on the turbo and then gave it away to a mate years later.